AUD/USD is trading at new lows since May 2020 as price begins to look for a firm break below key technical support on the charts. Trendline support (white line) has been a holding level for buyers for the past few months, but it is finally cracking and this hints at the potential for a much steeper decline in AUD/USD in the future.
The dollar continues to rage in the major currency space as post-Fed gains continue to gain momentum. Add to that troubled stocks and a weaker Chinese Yuan, it’s pretty much a disaster for the Aussie.
As it stands, the 0.6500 level is on the charts next with the 61.8 Fib retracement level at 0.6461 also in play. But break below that and we’ll start talking about the comeback from Pacific Peso with 0.6000 on the horizon.